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Primary Issues About The Cumulative Voting Of Corporational Law In China

Posted on:2009-06-16Degree:MasterType:Thesis
Country:ChinaCandidate:H T DuFull Text:PDF
GTID:2166360242477583Subject:Law
Abstract/Summary:PDF Full Text Request
Cumulative voting system is the voted system of voting the members of board of directors and board of supervisors. It has a great difference with the principle of the decision made by majority. The principle of the decision made by majority as the premise and foundation of company system has been alienated, which causes the consequence that those major shareholders elevate their wills as the company will based on their advantageous position in decision. Without proper restraint, they impair the legal benefits of other shareholders, esp. small ones by way of relationship trading, appropriation of company fund, the abuse of surety with company at stake, the manipulation of the allocation of profit, etc. This brings about the imbalance of benefits between company and shareholders, as well as between major shareholders and small ones, destroying the inner democratic management of the company and disappointing the expectation to make profit of the small shareholders. Under these circumstances, the cumulative voting comes into being. Cumulative voting system is the voted system of voting the members of board of directors and board of supervisors. Compared with straight voting system, cumulative voting system not only offers chances that minority shareholders can make their prolocutors become the members of board of directors or board of supervisors, but also cumulative voting system can help realize the in-house balance of board of directors and balance the interests between big shareholders and medium and small shareholders. The Corporation Law that has been applied in our country regulates cumulative voting system for the first time, but this provision still has imperfection, Such as its blurry scope of application, its simplification of election mode. On the basis of discussing the fundamental theory such as the value of cumulative voting system and the development of legislation mode tentatively and scientifically, this thesis puts some suggestions on perfecting cumulative voting system in our country.
Keywords/Search Tags:the cumulative voting, company governance, the equity of shareholders, the directive voting
PDF Full Text Request
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